(Washington, DC) Congressman John Yarmuth’s (KY-3) lauded the College Cost Reduction Act and the President signing the bill into law.  Congressman Yarmuth, a cosponsor of the bill, was instrumental in the inception of the bill through his work on the Higher Education Subcommittee and the Education and Labor Committee, and then, in his first Conference Committee assignment, in the crafting of the final legislation that the President signed today.

“This is a landmark day for America and a victory for educators, students, and hard-working families,” Yarmuth said.  “Millions of American students now have opportunities that would not be otherwise open to them: to enhance their prospects for the future, pursue careers in the global marketplace, and reach their dreams.  This law is classically American, rewarding work with increased Pell Grants, leveling the playing field by expanding tuition assistance, and fostering opportunity by helping graduates out of crippling debt.”

At $20 billion, the law provides the largest investment in higher education since the G.I. Bill, and it does so at no new cost to the taxpayer.

The new law increases maximum Pell Grants by more than $1,000 to $5,400, expands limits on federal loans while slashing federal interest rates in half, and guarantees that graduates will not have to pay more than 15 percent of their annual income in student loan payments.

Since 1996, the average graduate’s college debt has risen by 45 percent to nearly $18,000, while the average Kentucky Head Start teacher starts out earning less than $30,000 a year.

Under this legislation, Kentucky will receive more than $433 million in added benefits through additional Pell grants and student loans, cutting costs for more than 100,000 Kentucky students.

“Earlier this week, we voted to provide healthcare to 10 million children, and today, we’ve given every child an opportunity to pursue an education,” Yarmuth said.  “I am proud say that Congress is once more working in the interests of all Americans, not just the wealthy and privileged.  The House of Representatives is again the people’s House, where everybody matters.”